Shopify Inc. (NYSE:SHOP) Subleases Soho Storefront From Google (NASDAQ:GOOGL)

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Shopify Inc. (NYSE:SHOP) is going into brick and mortar stores after taking over a SoHo storefront through a sublease from Google (NASDAQ:GOOGL).

Shopify subleases Google space In New York

In 2014, Google leased the 131 Green Street space but later abandoned it has spent around $6 million on renovations and operating a pop-up holiday store two years ago. The 8,200 sq. ft. of store space lies between Prince and Houston streets and it also includes a rear sunken half-level.

So far there have been no comments from the companies or the property owner Ascot Properties regarding the lease. Shopify recently closed temporarily its Los Angeles stores where it supports online training of merchant customers and other events. The company’s leases signing in April fro a physical storefront in New York came at the height of the pandemic. Also, the company announced a partnership with Google on merchant customers allowing them to easily list products as well as accept payment through Google.

Shopify to transform into remote working permanently 

Shopify CEO and founder Tobi Lutke said in May that the company is digital by default and they are planning to keep offices shut until 2021 as they rework them for the COVID-10 norm. He added that office centricity is a thing of the past now and after reworking their offices most of its employees will be permanently working remotely. Lutke explained that in 2015 when Shopify went public it had some remote working staff acting as a bridge to the Shopify office. He said that going forward the future of the office is acting as the on-ramp to the digital workplace customers can access from the #WFH setup.

Since most of the merchants work remotely it is thus important to build Shopify in the same way and getting ready for new requirements, added Lutke. In June Shopify leased 24,630 sq. ft. of space at 148 Lafayette for its offices but hasn’t moved in and currently lists 627 Broadway as their local office. Currently, the Ottawa-based e-commerce firm is used by over 1 million enterprises globally.

Neha Gupta
Neha Gupta
Neha Gupta has cleared CFA Level 2 from CFA Institute (USA). She has worked in diverse capacities from financial research to currency trading in a span of 10 years. Neha also covers technology, finance, retail, automotive, energy and other sectors news.

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